T is a self-employed physician, During the year, he had $300,000 income from his practice, and a $15,000 gain on the sale of equipment used in his business. As result of the above, T has which of the following?

A) $300,000 self-employment income and $15,000 Category 1 income.

B) $300,000 self-employment income and no Category 3 gain.

C) $315,000 self-employment income and a $15,000 Category 3 gain.

D) $315,000 self-employment income and $15,000 category 2 income.